Google Ads in 2026: Performance Max, AI Max and What Changed

A dated guide to verified Google Ads changes: new Performance Max controls and reporting, AI Max for Search, the DSA upgrade timeline and ads in AI search.

SSquarebase
Published 1 Oct 2026 · 8 min read

Quick answer: Google Ads in 2026 is built around AI-led campaigns. Performance Max gained search terms reporting, channel reporting and negative keyword controls in 2025. AI Max for Search, launched in May 2025, is replacing Dynamic Search Ads, automatically created assets and the campaign-level broad match setting, with automatic upgrades from September 2026 and February 2027 for remaining DSA campaigns.

Google Ads in 2026 looks very different from the keyword-by-keyword account structure many advertisers still run. Performance Max and AI Max for Search now handle much of the query matching, ad copy and landing page selection, while Google adds more reporting and controls on top.

This guide covers only changes Google has announced on its own blog, Help Centre or event pages, with the date of each announcement, and explains what each one means for your account.

Key takeaways

Performance Max now offers campaign-level negative keywords, full search terms reporting and a channel performance report, all announced during 2025.
AI Max for Search (announced 6 May 2025) adds search term matching, text customisation and final URL expansion to standard Search campaigns.
Dynamic Search Ads, automatically created assets and the campaign-level broad match setting are being upgraded to AI Max, starting September 2026.
Ads can appear in AI Overviews, and Google Marketing Live 2026 (20 May 2026) introduced new ad formats for AI Mode and AI Max for Shopping campaigns.
Conversion data quality and strong assets now matter more than keyword lists.

What did Google announce for advertisers between 2025 and 2026?

Date	Announcement	Source
23 January 2025	Performance Max campaign-level negative keywords, new customer acquisition goal updates, search themes and asset group reporting	Google Ads blog
30 April 2025	Channel performance reporting, full search terms reporting and more asset metrics for Performance Max	Google Ads blog
6 May 2025	AI Max for Search campaigns announced, beta rollout from later that month	Google Ads blog
21 May 2025	Ads in AI Overviews expand on desktop in the US, with more English-language markets planned; ads in AI Mode in testing	Google Ads blog
7 August 2025	Performance Max: search themes limit raised from 25 to 50 per asset group, device targeting and age exclusions available, search terms in all campaigns and the API	Google Ads Help
15 April 2026 (updated 11 June 2026)	AI Max out of beta; DSA, automatically created assets and campaign-level broad match setting to be upgraded to AI Max	Google Ads blog
20 May 2026	Google Marketing Live 2026: ads in AI Mode, AI Max for Shopping, campaign total budgets and more	Google Marketing Live

What changed in Performance Max?

Performance Max (PMax) runs one campaign across Google’s channels, including Search, YouTube, Display, Discover, Gmail and Maps. The main complaint from advertisers was a lack of visibility and control. Google spent 2025 addressing that.

More control

In its 23 January 2025 announcement, Google said campaign-level negative keywords would roll out to all advertisers, along with a high value mode for the new customer acquisition goal, “URL contains” rules for campaigns with product feeds, and betas for age-based exclusions and device targeting.

A Google Ads Help update dated 7 August 2025 confirmed that the search themes limit increased from 25 to 50 per asset group, that device targeting and age-based demographic targeting were fully available, and that negative keyword lists could be applied at campaign level.

More reporting

On 30 April 2025, Google announced three reporting upgrades for PMax:

Channel performance reporting: a breakdown of results by Search, YouTube, Discover, Gmail, Display, Search partners and Maps, with diagnostics.
Full search terms reporting: the same level of query detail as Search and Standard Shopping campaigns.
Asset-level metrics: impressions, clicks, cost and conversion data for individual assets.

The August 2025 Help update added that search terms reporting was available for all PMax campaigns and through the API, along with goal diagnostics and clearer new versus returning customer reporting.

What is AI Max for Search?

AI Max for Search is a one-click setting inside standard Search campaigns, not a separate campaign type. Google announced it on 6 May 2025 with three core features:

Search term matching: uses broad match and keywordless technology to find relevant queries beyond your keyword list, learning from your keywords, assets and landing pages.
Text customisation: generates new headlines and descriptions from your landing pages, ads and keywords.
Final URL expansion: sends users to the most relevant page on your site for their query.

Google also added controls: brand inclusions and exclusions at campaign and ad group level, and location of interest targeting at ad group level. Google said advertisers activating AI Max typically saw 14% more conversions or conversion value at a similar CPA or ROAS, rising to 27% for campaigns still using mostly exact and phrase match keywords. These are Google’s own figures, so test them in your account.

What happens to Dynamic Search Ads and broad match settings?

On 15 April 2026, Google said Dynamic Search Ads (DSA), automatically created assets (ACA) and the campaign-level broad match setting would be upgraded to AI Max. The post was updated on 11 June 2026 with a revised timeline.

Timing	What happens
From April 2026	Voluntary upgrade tools available
September 2026	Automatic upgrades begin for ACA and campaign-level broad match; new DSA campaigns can no longer be created
February 2027	Automatic upgrades begin for remaining DSA campaigns

Google states that AI Max campaigns using the full feature set see an average of 7% more conversions or conversion value at a similar CPA or ROAS compared with search term matching alone. Google also says automatic upgrades will mirror existing settings, but upgrading yourself lets you choose how the new setup is structured.

Are ads showing in AI Overviews and AI Mode?

On 21 May 2025, Google said ads in AI Overviews were expanding to desktop in the US, with plans to reach select countries in English on mobile and desktop later in 2025. Ads in AI Mode were in testing at the time.

Google said advertisers running Performance Max, Shopping, Search campaigns with broad match, or AI Max for Search are eligible to show in these placements. In other words, the AI-led campaign types are the route into AI search surfaces. Google also said AI Overviews had driven over 10% more usage of Google for the types of queries that show them in markets such as the US and India.

What did Google Marketing Live 2026 announce?

Google Marketing Live took place on 20 May 2026. Google’s official highlights page lists many announcements. The ones most relevant to Search and Shopping advertisers are:

Ads in AI Mode: described by Google as “a new generation of ad formats for the AI era of Search.”
AI Max for Shopping campaigns: uses Merchant Center feeds to create Shopping ads that answer conversational queries.
AI Brief: lets brands give direction to AI-led campaigns in natural language, also available in AI Max for Search.
Campaign total budgets: a fixed total budget across a campaign’s duration instead of only daily budgets.
Smart Bidding Exploration: expands reach across Search and Shopping to capture more diverse traffic.
Ask Advisor: a Gemini-powered assistant across Google Ads, Analytics and Merchant Center.

Availability of these features varies by market and account, and many start in beta. Check your own account and Google’s Help Centre before planning around any of them.

What should advertisers do now?

The direction is clear: Google wants advertisers to give its AI good inputs and judge it on business results. This checklist covers the practical steps.

Fix conversion tracking first. Use enhanced conversions and import offline or CRM conversions for lead generation, so bidding learns from real outcomes.
Use conversion values. Value-based bidding with a Target ROAS set above your break-even point protects margin.
Plan your DSA upgrade. Move DSA and ACA campaigns to AI Max yourself before the automatic dates, and run an experiment to compare results.
Review PMax search terms and channel reports monthly. Add negative keywords and brand exclusions where spend is wasted.
Keep your landing pages strong. Text customisation and final URL expansion both read your site, so clear, accurate product and service pages directly affect ads.
Feed quality for retailers. Complete titles, descriptions and attributes in Merchant Center matter more as Shopping ads move into conversational queries.
Supply strong assets. Upload good images, videos and headlines rather than relying only on auto-generated ones.

Your website is now a direct input to ad performance. Pages that are slow, thin or out of date limit what AI Max and PMax can do, which is why ad work and search engine optimisation increasingly overlap.

How Squarebase can help

Squarebase audits Google Ads accounts, plans DSA to AI Max migrations, and sets up conversion tracking and value-based bidding tied to your margins. See our performance marketing services or contact our team for an account review.

Frequently asked questions

What is AI Max for Search campaigns?

AI Max for Search is a one-click setting in standard Google Search campaigns, announced on 6 May 2025. It adds search term matching beyond your keywords, AI-generated headlines and descriptions, and final URL expansion that sends users to the most relevant page on your site.

Are Dynamic Search Ads being discontinued?

Yes. Google announced on 15 April 2026 that Dynamic Search Ads will be upgraded to AI Max. New DSA campaign creation ends in September 2026, and automatic upgrades for remaining DSA campaigns begin in February 2027, under the timeline Google updated in June 2026.

Can I see search terms in Performance Max?

Yes. Google announced full search terms reporting for Performance Max on 30 April 2025, giving the same query detail as Search and Standard Shopping campaigns. A Google Ads Help update in August 2025 confirmed it is available for all Performance Max campaigns and through the API.

Can I add negative keywords to Performance Max?

Yes. Google announced campaign-level negative keywords for Performance Max in January 2025 and confirmed in August 2025 that negative keyword lists can be applied at campaign level. This lets advertisers exclude irrelevant or low-value queries across Performance Max campaigns.

How do ads show in Google AI Overviews?

Google said in May 2025 that advertisers running Performance Max, Shopping, Search campaigns with broad match, or AI Max for Search are eligible to show ads in AI Overviews. There is no separate campaign type; eligibility comes from using these AI-led campaign settings.

Sources

Written by Squarebase, Squarebase

Squarebase is a 360° marketing agency, founded in 2017, working on performance marketing, Shopify, websites and SEO, AEO and GEO for brands in India, the USA, the UK, Germany and Australia.